During 2016, Quanta Airlines paid salary expense of $41.2 million. At December 31, 2016, Quanta accrued salary

Question:

During 2016, Quanta Airlines paid salary expense of $41.2 million. At December 31, 2016, Quanta accrued salary expense of $2.4 million. Quanta then paid $2.6 million to its employees on January 3, 2017, the company's next payday after the end of the 2016 year. For this sequence of transactions, show what Quanta would report on its 2016 income statement and on its at the end of 2016.
Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...